About Ares Capital Corporation (NASDAQ:ARCC)
Ares Capital Corporation is a specialty finance company. The Company operates as a closed-end, non-diversified management investment company. The Company's investment objective is to generate both current income and capital appreciation through debt and equity investments. It invests primarily in the United States middle-market companies. It may from time to time invest in larger or smaller (in particular, for investments in early-stage and/or venture capital-backed) companies. It invests primarily in first lien senior secured loans (including unitranche loans, which are loans that combine both senior and mezzanine debt, generally in a first lien position), second lien senior secured loans, and mezzanine debt, which in some cases includes an equity component. It invests in various industries, such as automotive services, business services, consumer products, and containers and packaging. Ares Capital Management LLC serves as its investment advisor.
Industry, Sector and Symbol:
- Sector: Finance
- Industry: Closed End Funds
- Sub-Industry: Asset Management & Custody Banks
- Symbol: NASDAQ:ARCC
- CUSIP: 04010L10
- Web: www.arescapitalcorp.com
- 50 Day Moving Avg: $16.19
- 200 Day Moving Avg: $16.51
- 52 Week Range: $15.01 - $17.87
- Trailing P/E Ratio: N/A
- Foreward P/E Ratio: 10.28
- P/E Growth: 3.94
- Annual Dividend: $1.52
- Dividend Yield: 9.2%
- Net Margins: 44.61%
- Return on Equity: 8.95%
- Return on Assets: 5.13%
- Debt-to-Equity Ratio: 0.69%
- Current Ratio: 1.55%
- Quick Ratio: 1.55%
- Average Volume: 1.57 million shs.
- Beta: 0.62
Frequently Asked Questions for Ares Capital Corporation (NASDAQ:ARCC)
What is Ares Capital Corporation's stock symbol?
Ares Capital Corporation trades on the NASDAQ under the ticker symbol "ARCC."
How often does Ares Capital Corporation pay dividends? What is the dividend yield for Ares Capital Corporation?
Ares Capital Corporation declared a quarterly dividend on Wednesday, August 2nd. Investors of record on Friday, September 15th will be given a dividend of $0.38 per share on Friday, September 29th. This represents a $1.52 dividend on an annualized basis and a yield of 9.18%. The ex-dividend date of this dividend is Thursday, September 14th. View Ares Capital Corporation's Dividend History.
How will Ares Capital Corporation's stock buyback program work?
Ares Capital Corporation declared that its Board of Directors has initiated a stock repurchase program on Friday, April 7th 2017, which authorizes the company to repurchase $300,000,000.00 in shares, according to EventVestor. This repurchase authorization authorizes the company to repurchase shares of its stock through open market purchases. Shares repurchase programs are often an indication that the company's board of directors believes its stock is undervalued.
How were Ares Capital Corporation's earnings last quarter?
Ares Capital Corporation (NASDAQ:ARCC) released its earnings results on Wednesday, August, 2nd. The company reported $0.34 EPS for the quarter, missing the Zacks' consensus estimate of $0.36 by $0.02. The company had revenue of $284 million for the quarter, compared to analyst estimates of $297.77 million. Ares Capital Corporation had a return on equity of 8.95% and a net margin of 44.61%. During the same quarter in the previous year, the business posted $0.50 earnings per share. View Ares Capital Corporation's Earnings History.
When will Ares Capital Corporation make its next earnings announcement?
Where is Ares Capital Corporation's stock going? Where will Ares Capital Corporation's stock price be in 2017?
11 analysts have issued 12-month target prices for Ares Capital Corporation's stock. Their forecasts range from $15.00 to $19.50. On average, they expect Ares Capital Corporation's share price to reach $17.89 in the next year. View Analyst Ratings for Ares Capital Corporation.
What are analysts saying about Ares Capital Corporation stock?
Here are some recent quotes from research analysts about Ares Capital Corporation stock:
- 1. According to Zacks Investment Research, "ARES CAPITAL CORPORATION is a specialty finance company that is a closed-end, non-diversified management investment company. Ares Capital Corporation has elected to be regulated as a business development company under the Investment Company Act of 1940. Its investment objective is to generate both current income and capital appreciation through debt and equity investments. Ares Capital Corporation invests primarily in first and second lien senior loans and mezzanine debt, which in some cases includes an equity component, and, to a lesser extent, in equity investments in private U.S. middle market companies. " (10/3/2017)
- 2. National Securities analysts commented, "• Ares reported core NII of $0.34/share versus our estimate of $0.38/share, as ACAS assets with no yield or lower yields weighed on overall effective yield, NIM, and thus earnings. However, we note that this is a $0.02/share improvement Q/Q as the company makes progress in recycling assets and that prepayment fees, which many BDCs account for in investment income, are accounted for as realized gains at ARCC and were $0.02/share. We expect Ares to achieve full dividend coverage on a core NII basis in 4Q17.
• In 3Q17 ARCC purchased the remaining $1.6 billion of loans from the SSLP (Senior Secured Loan Program) with GE Capital and the joint venture (JV) was ended. As a result, ARCC’s 30% basket is freed up significantly. As of 6/30/17, the SSLP was 16.5% of the portfolio at amortized cost and the SDLP (Senior Direct Lending Program) was a mere 3.4%. This provides Ares with much needed breathing room in the 30% basket and should permit the company to comfortably ramp its SDLP JV with Varagon. While it will take time to ramp the program, we think ARCC sees ample deal flow in the upper middle market (UMM) already which is what goes into the JV, making deal sourcing easier for the program. Additionally, Ares could potentially put some or all of the $1.6 billion in loans purchased from the SSLP into the SDLP although this would of course require the consent of Varagon.
• We are revising our 2017 core NII/share estimate to $1.46 from $1.59 and our 2018 core NII/share estimate to $1.65 from $1.72.
- 3. Jefferies Group LLC analysts commented, "ARCC reported core NOI per share of $0.42 ahead of our estimate, as another quarter of larger transactions/syndications drove elevated fee income. ARCC remains selective, acknowledging the ongoing competitive environment. We remain favorable on ARCC given numerous earnings tailwinds including rising rates, ACAS integration and the wind-down of the SSLP, which should ease yield headwinds. We maintain our Buy rating and increase our PT to $19.50." (2/23/2017)
Are investors shorting Ares Capital Corporation?
Ares Capital Corporation saw a decrease in short interest in September. As of September 15th, there was short interest totalling 3,438,930 shares, a decrease of 30.8% from the August 31st total of 4,971,831 shares. Based on an average daily trading volume, of 2,404,202 shares, the short-interest ratio is currently 1.4 days. Currently, 0.8% of the company's shares are short sold.
Who are some of Ares Capital Corporation's key competitors?
Some companies that are related to Ares Capital Corporation include Prospect Capital Corporation (PSEC), 3i Infrastructure PLC (3IN), FS Investment Corporation (FSIC), Apollo Investment Corp. (AINV), Tortoise Energy Infrastructure Corporation (TYG), TPG Specialty Lending (TSLX), Liberty All-Star Equity Fund (USA), Hercules Capital (HTGC), Eaton Vance Tax Managed Buy Write Opport (ETV), TCP Capital Corp. (TCPC), Solar Capital (SLRC), Ithaca Energy (IAE), Invesco California Value Municipal Income Trust (VCV), Triangle Capital Corporation (TCAP), PennantPark Investment Corporation (PNNT), PennantPark Floating Rate Capital (PFLT), Foresight Solar Fund Ltd (FSFL) and MFS Charter Income Trust (MCR).
Who are Ares Capital Corporation's key executives?
Ares Capital Corporation's management team includes the folowing people:
- Michael J. Arougheti, Co-Chairman of the Board
- Bennett Rosenthal, Co-Chairman of the Board
- Mitchell Goldstein, Co-President
- Michael L. Smith, Co-President
- R. Kipp deVeer III, Chief Executive Officer, Director
- Penelope F. Roll, Chief Financial Officer
- Scott C. Lem, Chief Accounting Officer, Vice President, Treasurer
- Miriam G. Krieger, Chief Compliance Officer
- Joshua M. Bloomstein, Vice President, General Counsel, Secretary
- Michael R. McFerran, Vice President, Assistant Treasurer
Who owns Ares Capital Corporation stock?
Ares Capital Corporation's stock is owned by many different of retail and institutional investors. Top institutional investors include Baltimore Washington Financial Advisors Inc. (0.00%), SeaBridge Investment Advisors LLC (0.00%), Guild Investment Management Inc. (0.00%), Alpha Windward LLC (0.00%) and Summit X LLC (0.00%). Company insiders that own Ares Capital Corporation stock include Michael J Arougheti, Mitchell S Goldstein, R Kipp Deveer, Scott C Lem and Steve Bartlett. View Institutional Ownership Trends for Ares Capital Corporation.
Who sold Ares Capital Corporation stock? Who is selling Ares Capital Corporation stock?
Who bought Ares Capital Corporation stock? Who is buying Ares Capital Corporation stock?
Ares Capital Corporation's stock was purchased by a variety of institutional investors in the last quarter, including Guild Investment Management Inc., Alpha Windward LLC, Summit X LLC and Baltimore Washington Financial Advisors Inc.. Company insiders that have bought Ares Capital Corporation stock in the last two years include Michael J Arougheti, Mitchell S Goldstein, R Kipp Deveer, Scott C Lem and Steve Bartlett. View Insider Buying and Selling for Ares Capital Corporation.
How do I buy Ares Capital Corporation stock?
Shares of Ares Capital Corporation can be purchased through any online brokerage account. Popular online brokerages include Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Scottrade, Fidelity and Charles Schwab.
What is Ares Capital Corporation's stock price today?
MarketBeat Community Rating for Ares Capital Corporation (NASDAQ ARCC)MarketBeat's community ratings are surveys of what our community members think about Ares Capital Corporation and other stocks. Vote "Outperform" if you believe the stock will outperform the S&P 500 over the long term. Vote "Underperform" if you believe the stock will underperform the S&P 500 over the long term. You may vote once every thirty days.
One share of Ares Capital Corporation stock can currently be purchased for approximately $16.55.
Consensus Ratings for Ares Capital Corporation (NASDAQ:ARCC) (How are Consensus Ratings Calculated?)
MarketBeat calculates consensus ratings using the most recent rating from each brokerage that has rated a stock within the last twelve months. Since brokers often use different ratings systems, each rating is normalized to a standardized rating score of 1 (sell), 2 (hold), 3 (buy) or 4 (strong buy). Consensus ratings scores are calculated using the mean average of the number of normalized sell, hold, buy and strong buy ratings. Each stock's consensus rating is derived from its calculated consensus ratings score (0-1.5 = Sell, 1.5-2.5 = Hold, 2.5-3.5 = Buy, >3.5 = Strong Buy). MarketBeat's consensus price targets are a mean average of the most recent available price targets set by each analyst that has set a price target for the stock in the last twelve months.
MarketBeat will no longer include ratings and price target data in its consensus calculation if a broker drops coverage and MarketBeat has received a report that coverage was dropped. Ratings from certain research firms that issue ratings using purely quantitative methods (such as Zacks, Vetr and ValuEngine) are not included in consensus calculations. MarketBeat's consensus ratings and consensus price targets may differ from those calculated by other firms due to differences in methodology and available data.
|Ratings Breakdown: ||2 Hold Ratings, 9 Buy Ratings|
|Consensus Rating:||Buy (Score: 2.82)|
|Consensus Price Target: ||$17.89 (8.09% upside)|Consensus Price Target History for Ares Capital Corporation (NASDAQ:ARCC)
Analysts' Ratings History for Ares Capital Corporation (NASDAQ:ARCC)
(Data available from 10/23/2015 forward)
|Date||Firm||Action||Rating||Price Target||Impact on Share Price||Details|
|10/6/2017||Keefe, Bruyette & Woods||Set Price Target||Buy||$19.00||N/A|
|9/21/2017||CIBC||Initiated Coverage||Outperform -> Outperform||$18.00||Low|
|9/21/2017||Oppenheimer Holdings, Inc.||Initiated Coverage||Outperform||$18.00||Low|
|9/20/2017||Citigroup Inc.||Initiated Coverage||Outperform||$18.00||Low|
|8/25/2017||BMO Capital Markets||Reiterated Rating||Hold||$15.00||Low|
|8/7/2017||National Securities||Reiterated Rating||Buy||$19.00||Low|
|7/14/2017||Jefferies Group LLC||Reiterated Rating||Buy||$19.50||Low|
|5/15/2017||Janney Montgomery Scott||Reiterated Rating||Neutral||N/A|
|1/8/2017||Barclays PLC||Set Price Target||Buy||$18.00||N/A|
|1/4/2017||Wells Fargo & Company||Reiterated Rating||Buy||N/A|
|11/3/2016||JMP Securities||Reiterated Rating||Buy||N/A|
|2/24/2016||Cantor Fitzgerald||Reiterated Rating||Hold||$16.00||N/A|
Earnings History for Ares Capital Corporation (NASDAQ:ARCC)Earnings History by Quarter for Ares Capital Corporation (NASDAQ ARCC)
(Data available from 1/1/2011 forward)
|Date||Quarter||Consensus Estimate||Actual EPS||Revenue Estimate||Actual Revenue||Release Link||Conference Call||Details|
|8/2/2017||Q2 2017||$0.36||$0.34||$297.77 million||$284.00 million||View||Listen|
|5/3/2017||Q1 2017||$0.36||$0.32||$294.92 million||$275.00 million||View||Listen|
|2/22/2017||Q416||$0.39||$0.42||$247.12 million||$261.00 million||View||Listen|
|11/2/2016||Q316||$0.38||$0.43||$246.06 million||$258.67 million||View||N/A|
|8/3/2016||Q216||$0.38||$0.39||$250.86 million||$245.26 million||View||N/A|
|5/4/2016||Q116||$0.39||$0.37||$255.19 million||$248.00 million||View||N/A|
|2/24/2016||Q415||$0.39||$0.40||$256.30 million||$261.68 million||View||Listen|
|11/4/2015||Q315||$0.38||$0.41||$253.36 million||$260.95 million||View||N/A|
|8/4/2015||Q215||$0.38||$0.37||$246.24 million||$249.48 million||View||N/A|
|5/4/2015||Q1 2015||$0.39||$0.37||$259.60 million||$253.25 million||View||N/A|
|2/26/2015||Q414||$0.39||$0.42||$263.78 million||$270.92 million||View||N/A|
|11/4/2014||Q414||$0.38||$0.40||$248.25 million||$253.40 million||View||N/A|
|8/5/2014||Q314||$0.37||$0.34||$231.50 million||$224.92 million||View||N/A|
|5/6/2014||Q214||$0.39||$0.38||$230.70 million||$239.70 million||View||N/A|
|8/6/2013||Q2 2013||$0.39||$0.38||$200.63 million||View||N/A|
|5/7/2013||Q1 2013||$0.40||$0.38||$194.41 million||View||N/A|
|2/27/2013||Q4 2012||$0.41||$0.45||$197.05 million||View||N/A|
Earnings Estimates for Ares Capital Corporation (NASDAQ:ARCC)
2017 EPS Consensus Estimate: $1.46
2018 EPS Consensus Estimate: $1.55
(Data provided by Zacks Investment Research)
|Quarter||Number of Estimates||Low Estimate||High Estimate||Average Estimate|
Current Dividend Information for Ares Capital Corporation (NASDAQ:ARCC)
|Most Recent Dividend:||9/29/2017|
|Payout Ratio:||117.83% (Trailing 12 Months of Earnings) |
110.95% (Based on This Year's Estimates)
94.41% (Based on Next Year's Estimates)
Dividend History by Quarter for Ares Capital Corporation (NASDAQ ARCC)
(Data available from 1/1/2013 forward)
|Announced||Period||Amount||Yield||Ex-Dividend Date||Record Date||Payable Date|
Insider Trading and Institutional Ownership History for Ares Capital Corporation (NASDAQ:ARCC)
Insider Ownership Percentage: 0.45%Insider Trades by Quarter for Ares Capital Corporation (NASDAQ:ARCC)
Institutional Ownership Percentage: 44.98%
(Data available from 1/1/2013 forward)
|Transaction Date||Insider Name||Title||Buy/Sell||Number of Shares||Average Share Price||Total Transaction||Details|
|9/25/2017||Steve Bartlett||Director||Buy||200||$15.77||$3,154.00|| |
|8/24/2017||Steve Bartlett||Director||Buy||200||$16.12||$3,224.00|| |
|7/24/2017||Steve Bartlett||Director||Buy||200||$16.48||$3,296.00|| |
|6/22/2017||Steve Bartlett||Director||Buy||200||$16.21||$3,242.00|| |
|3/16/2017||Steve Bartlett||Director||Buy||200||$17.29||$3,458.00|| |
|12/20/2016||Steve Bartlett||Director||Buy||200||$16.00||$3,200.00|| |
|11/21/2016||Steve Bartlett||Director||Buy||200||$15.78||$3,156.00|| |
|10/20/2016||Steve Bartlett||Director||Buy||200||$15.37||$3,074.00|| |
|9/20/2016||Steve Bartlett||Director||Buy||200||$15.60||$3,120.00|| |
|8/22/2016||Steve Bartlett||Director||Buy||200||$15.72||$3,144.00|| |
|8/15/2016||Mitchell S Goldstein||Insider||Buy||6,472||$15.45||$99,992.40|| |
|7/20/2016||Steve Bartlett||Director||Buy||200||$14.77||$2,954.00|| |
|6/20/2016||Steve Bartlett||Director||Buy||200||$14.20||$2,840.00|| |
|5/20/2016||Steve Bartlett||Director||Buy||200||$15.12||$3,024.00|| |
|4/20/2016||Steve Bartlett||Director||Buy||200||$15.05||$3,010.00|| |
|3/21/2016||Steve Bartlett||Director||Buy||200||$14.26||$2,852.00|| |
|3/11/2016||R. Kipp Deveer||CEO||Buy||40,000||$13.90||$556,000.00|| |
|3/8/2016||Scott C Lem||CAO||Buy||1,800||$14.00||$25,200.00|| |
|2/26/2016||Michael J Arougheti||EVP||Buy||90,000||$13.55||$1,219,500.00|| |
|2/25/2016||Mitchell S Goldstein||Insider||Buy||19,200||$12.97||$249,024.00|| |
|2/22/2016||Steve Bartlett||Director||Buy||100||$12.85||$1,285.00|| |
|1/20/2016||Steve Bartlett||Director||Buy||100||$13.20||$1,320.00|| |
|12/21/2015||Steve Bartlett||Director||Buy||100||$14.08||$1,408.00|| |
|9/14/2015||Bates Ann Torre||Director||Buy||8,126||$14.87||$120,833.62|| |
|8/24/2015||Penelope F Roll||CFO||Buy||7,500||$15.22||$114,150.00|| |
|8/14/2015||Steven B Mckeever||Director||Buy||1,835||$16.13||$29,598.55|| |
|3/12/2015||Robert L Rosen||Director||Buy||7,500||$16.77||$125,775.00|| |
|3/6/2015||Robert L Rosen||Director||Buy||5,000||$17.57||$87,850.00|| |
|3/4/2015||Robert L Rosen||Director||Buy||7,500||$17.41||$130,575.00|| |
|1/20/2015||Steve Bartlett||Director||Buy||100||$15.97||$1,597.00|| |
|12/15/2014||Penelope F Roll||CFO||Buy||2,000||$15.04||$30,080.00|| |
|12/4/2014||Scott C Lem||CAO||Buy||1,250||$16.00||$20,000.00|| |
|11/26/2014||Scott C Lem||CAO||Buy||1,225||$16.33||$20,004.25|| |
|11/5/2014||Joshua M Bloomstein||VP||Buy||2,500||$16.20||$40,500.00|| |
|11/5/2014||Michael J Arougheti||EVP||Buy||60,000||$16.20||$972,000.00|| |
|11/5/2014||Penelope F Roll||CFO||Buy||3,000||$16.14||$48,420.00|| |
|8/7/2014||R. Kipp Deveer||CEO||Buy||10,000||$16.51||$165,100.00|| |
|8/7/2014||Scott C Lem||CAO||Buy||1,462||$16.97||$24,810.14|| |
|8/6/2014||Joshua M Bloomstein||VP||Buy||1,500||$16.41||$24,615.00|| |
|8/6/2014||Penelope F Roll||CFO||Buy||6,000||$16.43||$98,580.00|| |
|8/6/2014||Scott C Lem||CAO||Buy||300||$16.48||$4,944.00|| |
|5/30/2014||Scott C Lem||CAO||Buy||287||$17.24||$4,947.88|| |
|5/16/2014||Scott C Lem||CAO||Buy||300||$16.81||$5,043.00|| |
|5/15/2014||Michael Lewis Smith||EVP||Buy||10,000||$16.75||$167,500.00|| |
|5/13/2014||Joshua Bloomstein||VP||Buy||5,000||$16.61||$83,050.00|| |
|5/9/2014||Michael Arougheti||CEO||Buy||50,000||$16.60||$830,000.00|| |
|3/7/2014||Scott C Lem||CAO||Buy||275||$17.88||$4,917.00|| |
|12/3/2013||Steven Mckeever||Director||Buy||1,650||$18.16||$29,964.00|| |
|11/13/2012||Steve Bartlett||Director||Buy||1,000||$16.89||$16,890.00|| |
Headline Trends for Ares Capital Corporation (NASDAQ:ARCC)
Latest Headlines for Ares Capital Corporation (NASDAQ:ARCC)
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Ares Capital Corporation (ARCC) Chart for Monday, October, 23, 2017